Allahabad Bank

Allahabad Bank

Company type	Public company
Traded as	BSE: 532480, NSE: ALBK
Industry	Banking, Financial services
Founded	1865 in Allahabad
Headquarters	Kolkata , India
Number of locations	2,500 branches (2012)
Key people	Rakesh Sethi (Chairman and MD)
Services	Finance and insurance Consumer banking Corporate banking
Revenue	₹189.13 billion (US$2.3 billion) (2013)
Operating income	₹33.85 billion (US$410 million) (2013)
Net income	₹11.85 billion (US$140 million) (2013)
Total equity	₹5 billion (US$60 million) (2013)
Number of employees	22,557 (March 2013)
Website	allahabadbank.in

Allahabad Bank (Hindi: इलाहाबाद बैंक) is a nationalised bank with its headquarters in Kolkata, India. It is the oldest joint stock bank in India. It was founded in Allahabad in 1865.

As of 31 March 2012, it had over 2,500 branches across India. The bank did a total business of INR 3.1 trillion during the FY 2012-13. The bank has a branch in Hong Kong and a representative office in Shenzen.

The bank's market capitalisation in May 2013 was US$ 1.28 billion and it ranked #1466 on the Forbes Global 2000 list.

History

19th century

On 24 April 1865, a group of Englishmen at Allahabad founded Allahabad Bank. By the end of 19th century it had branches at Jhansi, Kanpur, Lucknow, Bareilly, Nainital, Calcutta, and Delhi.

20th century

In the early 20th century, with the start of Swadeshi movement, Allahabad Bank witnessed a spurt in deposits. In 1920, P & O Banking Corporation acquired Allahabad Bank with a bid price of ₹436 (US$5.20) per share. In 1923 the bank moved its head office and the registered office to Calcutta for reasons of both operational convenience and business opportunities. Then in 1927 Chartered Bank of India, Australia and China (Chartered Bank) acquired P&O Bank. However, Chartered Bank continued to operate Allahabad Bank as a separate entity.

Allahabad Bank opened a branch in Rangoon (Yangon). At some point Chartered Bank amalgamated Allahabad Bank's branch in Rangoon with its own. In 1963 the revolutionary government in Burma nationalized Central Bank of India's operations there, which became People's Bank No. 2.

On 19 July 1969, the Indian Government nationalised Allahabad Bank, together with 13 other banks.

In October 1989, Allahabad Bank acquired United Industrial Bank, a Calcutta-based bank that had been established in 1940. Two years later, Allahabad Bank established AllBank Finance Ltd, a wholly owned Merchant Banking subsidiary.

21st century

The government's ownership of Allahabad Bank shrank in October 2002 after the bank engaged in an Initial Public Offering (IPO) of ₹100 million (US$1.2 million) of shares, each with a face value ₹ 10. The IPO reduced the Government's shareholding to 71.16%. Then in April 2005 the bank conducted a second public offering of ₹ 100 million of shares, each with a face value ₹ 10 and selling at a premium of ₹ 72. This offering reduced the Government's ownership to 55.23%.

In June 2006 the bank opened its first office outside India when it opened a representative office in Shenzen, Mainland China. In February 2007, Allahabad Bank opened its first overseas branch, in Hong Kong. In March, the bank's business crossed the ₹ 10 million million mark.

Listings and shareholding

Allahabad Bank's equity shares are listed on Bombay Stock Exchange and the National Stock Exchange of India.

Shareholders (as on 31-Dec-2013)	Shareholding
Promoter Group (Government of India)	58.90%
Insurance Companies	13.54%
Individual shareholders	12.10%
Foreign Institutional Investors (FII)	08.74%
Banks/Financial Institutions/Mutual Funds/UTI	04.86%
Others	01.86%
Total	100.0%

Employees

As om 31 March 2013, the bank had 22,557 employees, out of which 3,293 were women (15%). Out of the total employees, 51% were officers, 30% were clerks and remaining 19% were subordinate staff. The bank recruited 1,950 employees (1,421 Officers, 390 Clerks and 139 subordinate staff) during the same financial year. The company incurred INR 20 billion on employee benefit expenses during the same financial year.
Employee productivity: During the FY 2012-13, the business per employee was INR 13.73 crores and it earned a net profit of INR 5.25 lakhs per employee.

See also

• Banking in India
• List of banks in India
• Chartered Bank of India, Australia and China

Citations and references

Citations

References

• Turnell, Sean (2009) Fiery Dragons: Banks, Moneylenders and Microfinnance in Burma. (NAIS Press). ISBN 9788776940409

External links

• Official website
• IFSC Codes, SWIFT codes and MICR numbers of Allahabad Bank branches
• ATM finder for Allahabad Bank